Long-term (200 DMA): Uptrend
All of the major stock market averages rose or remained above their 200-day moving averages.

COMMENTARY
Last week’s “small rally” forced a complete reversal in the market outlook, from downtrend to uptrend, as the indexes reclaimed their 20, 50, and in some cases 200 day moving averages. With the 20, 50, and 200 day moving averages so close to one another, the potential for further whipsaw action over the coming weeks is very high.

On the positive side, the rally saw broad participation across all sectors…so your holdings probably did well too! The only real negative was declining trading volume as prices rose, which is typical before a three-day holiday.

Price/volume action still shows elevated levels of high-volume selling, but some of the distribution days are old enough to fall off the count.

Per OEW, the latest rally could extend a bit farther (the S&P500 is within 2% of the all time high), which is good news for short-term gains. However, OEW also indicates the severity of the next downtrend grows as we make higher highs.